USD/CHF, USD/JPY steady as Russia-Ukraine tensions escalate with Poland incident

Safe-haven currencies showed muted reaction overnight despite escalating Russia-Ukraine tensions after Russian drones reportedly violated Polish airspace for the first time since the 2022 conflict began. USD/JPY holds steady near 143.50, while USD/CHF trades around 0.8450, with markets displaying surprising calm despite Poland calling the incident an 'unprecedented violation.' The Swiss franc and Japanese yen, traditional safe-haven assets, saw only modest inflows as traders await further developments. Gold prices edged 0.2% higher to $2,515, reflecting limited risk-off sentiment. The contained market response suggests investors are monitoring whether this escalation leads to broader NATO involvement or remains an isolated incident. Technical indicators show USD/JPY facing resistance at 144.00, with support at 143.00. Traders should watch for any diplomatic responses that could trigger stronger safe-haven flows, particularly if tensions escalate further between NATO and Russia.